Four Japan Cabinet ministers resigned on Thursday, dealing a shocking blow to Prime Minister Fumio Kishida's administration amid a fundraising scandal involving the ruling party's most influential faction.

The scandal revolves around allegations that over ¥500 million ($3.4 million) ended up in undisclosed funds over a five-year period through 2022, prompting Tokyo prosecutors to launch a corruption probe, as per BBC News.

Japan Government Shaken by Resignations Amid Scandal

Japan's Prime Minister Kishida Makes Announcement
(Photo : Franck Robichon - Pool/Getty Images)
TOKYO, JAPAN - DECEMBER 13: Japanese Prime Minister Fumio Kishida takes a drink of water during a press conference at the Prime Minister's Office on December 13, 2023 in Tokyo, Japan. Prime Minister Kishida said he will replace several ministers implicated in a political fundraising scandal.

In a number of high-profile resignations, Chief Cabinet Secretary Hirokazu Matsuno, who is widely regarded as a key ally of Prime Minister Fumio Kishida, has stepped down from his position. Joining him in this wave of departures are Economy and Industry Minister Yasutoshi Nishimura, Internal Affairs Minister Junji Suzuki, and Agriculture Minister Ichiro Miyashita. The anticipated announcement of the replacements for these crucial positions is expected to occur later today.

Prime Minister Kishida's government, already facing a decline in approval ratings, has been dealt a serious setback by this scandal. In a recent survey conducted by NHK, it has been revealed that public support for the ruling Liberal Democratic Party (LDP) has dipped below 30%. This decline in support marks the lowest level seen since 2012.

The faction involved in the scandal, formerly under the leadership of the late Prime Minister Shinzo Abe, is facing allegations of failing to disclose hundreds of millions of yen in fundraising revenue. According to the allegations, a system has been uncovered which reportedly involves the implementation of quotas for the sale of tickets to party events. It is claimed that the additional revenue generated from these ticket sales has been kept off the official records and redirected into undisclosed slush funds.

In a development that has sparked concerns about transparency and accountability, a scandal has come out within the ruling party in Japan. Although it does not appear to contravene Japanese law directly, the incident has raised major issues regarding the aforementioned principles, according to Firstpost.

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Resignations Deepen Crisis for Japan's LDP Government

In addition to the cabinet ministers, five senior vice ministers and a parliamentary vice minister from the same faction also stepped down, leaving the LDP in the unprecedented situation of having no representatives from its largest and most powerful faction within the cabinet.

Prime Minister Kishida, who assumed office in October 2021, has made a commitment to address the allegations directly. In a major step, the Lower House of Japan's Diet rejected a no-confidence motion against Kishida's cabinet on Wednesday. However, the ongoing scandal surrounding Kishida may have a lasting impact on his credibility.

Many analysts speculate that although Kishida may currently hold onto power, the dynamics of leadership could potentially shift with the emergence of a formidable contender. With the upcoming leadership elections in September and the general election slated for 2025, a scandal has emerged, casting a shadow of uncertainty over Japan's political landscape.

This development has raised concerns regarding the stability and integrity of the ruling party. As investigations continue to progress, the remaining political consequences and potential ramifications for the government remain shrouded in uncertainty, The Straits Times reported.

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